IMPORTANT INCOME TAX CASE LAWS 26.02.2026

Relevant Section	Case Law Title	Core Ruling & Strategic Summary	Citation
Section 205	ITO v. Gayatri Snehal Rao	[Landmark SC] If an employer deducts TDS from salary but fails to deposit it with the Govt, the Revenue cannot raise a direct demand against the employee. Section 205 creates a total bar against such recovery.	Click Here
Section 32	Aptara Technologies v. DCIT	[Artificial Goodwill] Amalgamation resulting in the “artificial creation” of goodwill without real business acquisition or commercial substance is a colourable device. Depreciation on such goodwill is to be disallowed.	Click Here
Section 50	N.K. Gems v. ITO	[Block of Assets] New commercial premises are considered “acquired” once the registered agreement is executed and full consideration is paid. Possession or “put to use” is not required for inclusion in the block.	Click Here
Section 271D	JCIT v. G. S. V. Amarendra	[Penalty Quashed] Penalty u/s 271D (Cash Loans) cannot be levied if the AO fails to record a specific finding of Section 269SS violation or record satisfaction during the assessment order.	Click Here
Section 44C	ANZ Banking Group Ltd. v. DCIT	[Head Office Expenses] Telecom charges and expatriate personnel costs incurred exclusively for the Indian branch are Business Expenses u/s 37(1) and not “General Administrative” expenses capped u/s 44C.	Click Here